Why Senegal Attracts Investors
Senegal achieved the best growth in West Africa in 2025, at 7.9% according to the IMF and BIDC, compared to 6.1% in 2024. This performance is based on the historic start of oil and gas production: the offshore Sangomar field, operated by Woodside and Petrosen, extracted 16.9 million barrels in 2024, and the Grand Tortue Ahmeyim (GTA) gas project commissioned its LNG plant in 2025. Nominal GDP reached 37.1 billion dollars in 2025. For a French-speaking investor residing in France, Senegal combines political stability (no violent transition since independence), a currency pegged to the euro (franc CFA) and a single investment window via APIX.
Key Figures 2026
| Indicator | Value | Period |
|---|---|---|
| Nominal GDP | 37.1 Bn$ (2025) ; ≈ 40.5 Bn$ projected | 2025-2026 |
| Real GDP growth | 7.9% in 2025 ; ≈ 2.2% forecast (IMF) | 2025-2026 |
| Inward FDI flows | 337 M$ (2025), after 3.32 Bn$ in 2024 | 2025 |
| Population | ≈ 19.08 million (ANSD) | 2025 |
| GDP per capita | 1 936 $ (2025) ; 2 054 $ projected | 2025-2026 |
| Currency | Franc CFA (XOF), pegged to the euro | — |
| Public debt | ≈ 132% of GDP (end of 2024) | 2024 |
Senegal’s nominal GDP reached 37.1 billion dollars in 2025, up 7.9% in volume; the IMF projects 40.5 billion dollars for 2026, but with growth slowing to 2.2%, while BIDC forecasts 4.1%. Inward FDI flows fell by nearly 90% in 2025, to 337 million dollars according to UNCTAD, after 4.79 billion in 2023 and 3.32 billion in 2024; APIX puts this decline into perspective, linking it to the end of major oil and gas projects, highlighting that the FDI stock grew from 20.6 to 25 billion dollars and that a pipeline of more than 15 billion dollars in projects is expected between 2026 and 2030. The population is estimated at 19.08 million inhabitants in 2025 by ANSD, with a median age of 24 years, and Dakar alone concentrates 4.16 million inhabitants (21.8%). Public debt, reassessed following the disclosure of undeclared liabilities, stands at approximately 132% of GDP at end-2024, which led S&P to downgrade the sovereign rating.
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High-Potential Sectors
Hydrocarbons (Oil and Gas)
Sangomar produced 16.9 million barrels in 2024, exceeding the initially targeted 11.7 million, and is set to reach its full capacity of 100,000 barrels per day by 2026. GTA has been supplying LNG since 2025. The local content law requires 30% local content from subcontractors. APIX records a portfolio of more than 15 billion dollars in projects between 2026 and 2030, including Yakaar-Teranga (7.5 billion dollars), the Grand Water Transfer (nearly 8 billion) and the Dakar-Kidira-Bamako rail corridor (2.6 billion).
Construction and Real Estate
Dakar has an estimated shortfall of around 200,000 housing units. Prices per m² reach 1,500 to 3,000 dollars in the sought-after neighbourhoods of Point E and the Almadies, with gross rental yields of 6 to 10%. The new city of Diamniadio, 30 km away, and its Integrated Special Economic Zone (ZESI) offer new properties 30 to 40% cheaper than the Plateau.
Tourism
Senegal welcomed approximately 1.5 million tourists in 2025, far short of the official target of 2.4 to 2.5 million visitors by 2029, and tourism revenues reached 589 million dollars in 2023. French visitor numbers grew by 18% in 2025-2026. The resorts of Saly and Cap Skirring remain reliable destinations, while Casamance remains under-exploited.
Fintech and Digital
Mobile money has exploded: the number of registered accounts rose from around 7 to 38 million between 2013 and 2023. Wave, with 23 million active users in UEMOA in 2024, has driven down fees and directly competes with Orange Money. Competition is intense but the market continues to grow strongly.
Agriculture and Agro-industry
Improved agricultural performance is among the drivers of 2025 growth according to BIDC. Groundnuts, horticulture and aquaculture offer opportunities with a moderate entry ticket, but the sector remains exposed to climate risks.
How to Invest from France
APIX, the single window. The Investment Promotion and Major Works Agency centralises procedures: company formation in 24 to 48 hours, a new Investment Code offering tax exemptions of up to 15 years, and support for strategic projects (energy, agriculture, tourism, industry). The Integrated Special Economic Zone of Diamniadio (ZESI) offers modern industrial zones with tax advantages.
The Regional Stock Exchange (BRVM). Senegal does not have a national stock exchange: Senegalese securities, such as Sonatel, are listed on the BRVM, the Regional Securities Exchange based in Abidjan and shared by the eight UEMOA countries. Access from France goes through a securities account with a CREPMF-approved management and intermediation company (SGI).
Bank account and transfers. An investor residing in France must open a local account in francs CFA with a Senegalese bank. The franc CFA is pegged to the euro (1 euro = 655.957 FCFA), which neutralises exchange rate risk with the eurozone, and capital can be freely repatriated within UEMOA.
Real estate. A non-resident foreigner may purchase property freely in Senegal. Allow for registration duties and acquisition costs, and target 6 to 10% gross rental yield in Dakar. The Senegalese diaspora in France often provides a valuable local relay.
Taxation. Corporate income tax is set at 30% (standard rate), VAT at 18%, and withholding tax on dividends at 10%. Companies in free zones benefit from a total corporate tax exemption for 25 years. A French tax resident declares their Senegalese income in both countries; the Franco-Senegalese tax treaty prevents double taxation. Tax advice is essential before any structure is put in place.
Risks to Be Aware Of
- Debt and sovereign risk. Public debt stands at approximately 132% of GDP, inflated by undeclared liabilities disclosed in 2024-2025, which led the IMF to suspend its programme and S&P to downgrade the rating to CCC+/CC. Financing needs remain heavy.
- Post-oil slowdown. After the peak of 7.9% in 2025, growth is expected to slow sharply (2.2% according to the IMF, 4.1% according to BIDC). Dependence on global hydrocarbon prices weighs on revenues.
- FDI volatility. FDI flows fell from 4.79 billion dollars in 2023 to 337 million in 2025, once the major projects were completed; the rebound will depend on the materialisation of the announced pipeline.
- Bureaucracy and land access. Administrative procedures and access to land remain slow, despite the APIX single window; a local partner is often necessary.
Frequently Asked Questions
Do you need a local partner to invest in Senegal?
It is not legally required, but strongly recommended to navigate the administration and land issues. In certain sectors (agricultural land, fishing, media), a Senegalese partner facilitates procedures, and the diaspora from France provides a natural bridge.
What is the best sector to invest in in 2026?
Services to the oil and gas industries offer the highest potential, with local content mandated at 30%. Construction and real estate in Diamniadio remain the most accessible in the short term, and tourism in Casamance is under-exploited over the medium term.
Is Senegal safe for foreign investors?
Yes. The country has experienced no coup d’état since independence and the 2024 transition of power was peaceful. The main risk is not political but fiscal: the high debt has downgraded the sovereign rating and suspended the IMF programme.
Can profits be repatriated from France?
Yes. The franc CFA is pegged to the euro and transfers are free within UEMOA. Foreign investments benefit from the free repatriation of dividends (subject to the 10% withholding tax), in compliance with BCEAO foreign exchange regulations.
To go further: discover our complete guide to investing in Africa (6 countries compared).
See also our complete guide Investing in Africa (2026 country-by-country comparison).
